Syntax-Brillian Corporation Announces Preliminary Results for the Quarter Ended December 31, 2006
Company Expects to Report Record Revenue and Unit Shipments with
(I don't think this was posted before.)
Gross Margins near the Top of Previously Estimated Range. Significant Balance Sheet Restructuring Also Detailed.
TEMPE, Ariz.--(BUSINESS WIRE)--Jan. 8, 2007--Syntax-Brillian Corporation (Nasdaq:BRLC), one of the fastest-growing manufacturers of HDTVs in North America, announced today preliminary revenue results for its second fiscal quarter ended December 31, 2006.
"During the quarter ended December 31, 2006 we had record revenue and unit shipments" said Wayne Pratt, Syntax-Brillian's Executive Vice President and Chief Financial Officer. "While the results of the quarter have not yet been finalized, we believe that consolidated revenue for the quarter, including the revenue from Vivitar, will be above $240 million with LCD TV shipments in excess of 350,000 units. Additionally, we believe that gross margins will be in the top half of the range of 15% to 17% that we had previously forecasted," he continued.
In addition to the revenue update, Syntax-Brillian reported that significant balance sheet restructuring took place during the December quarter. During the quarter ended December 31, 2006, the following events occurred:
-- Increased availability under the line of credit from Preferred
Bank from $33 million to $67 million.
-- Obtained $15 million of borrowing capacity from CIT.
-- Obtained $20 million line of credit for the Vivitar
subsidiary.
-- Retired $4.075 million face value of 9% Senior Secured
Debentures.
-- Converted all remaining convertible debentures to common
stock.
-- Converted $5.4 million face value of 6% redeemable,
convertible preferred stock to common stock. Only $9.6 million
face value remains outstanding.
-- Sold 1,293,661 shares of common stock for $10 million of cash.
As a result of the significant amount of conversions of convertible debentures and preferred stock into common stock and the retirement of the 9% Senior Secured Debentures, non-cash interest expense for the quarter was approximately, $5.7 million.
Syntax-Brillian expects to report its financial results for the quarter ended December 31, 2006 on or shortly after February 7, 2007.
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